Port chaos fears mount as truckers get emergency hours extension

Ministers were forced on Wednesday to relax rules limiting lorry drivers' hours amid growing fears that Christmas could be ruined by missing presents, as Britain's ports reel from Covid disruption and stockpiling ahead of Brexit.

Products including Apple’s new AirPods Max headphones will not arrive in time for the holiday season for many customers placing new orders online, with delays of up to 14 weeks.

A host of British retailers including fashion chains Primark and River Island and sofa firm DfS are also understood to have raised the alarm about a massive logjam at the dockside.

Meanwhile, folding bicycle maker Brompton warned that it is struggling to keep up with huge demand for its goods because of delays to imported components caused by ports being clogged up. The company said 1.5m parts are "stuck on the water" and waiting to be offloaded in Suffolk.

Playstation 5 supplies have also been hit by huge demand problems since the games console launched last month, with little stock expected before Christmas.

In a bid to keep traffic moving, the Government announced that lorry drivers carrying food and medical supplies such as vaccines will be free to work longer hours than normal European Union safety rules permit.

The change - which allow drivers to work two consecutive six-day weeks - will last until Dec 30 and applies to goods travelling between transport hubs, warehouses and stores.

The chaos across the port system was triggered by a global supply chain crisis when demand collapsed as Covid hit before surging again as lockdowns ended.

A surge in demand above the already high levels normal at Christmas has been made worse still by stockpiling as companies and families try to get ahead of Brexit.

Jean-Marc Puissesseau, president at the Port of Calais, told Bloomberg that British-bound goods have included everything from tractors to high-end Ferrari and Maserati sports cars.

Importers are now being hammered by rising shipping rates and added congestion charges at Felixstowe and Southampton. Soaring costs may push prices higher for British consumers, businesses have warned. 

DFS told customers last week that it is behind schedule to make and deliver sofas, largely due to shortages of foam and Covid-19. It insisted it will deliver most orders before Christmas Day, but may fail to do so in some instances. 

Primark and River Island are both understood to be concerned about disruption in December too.

John Allan, chairman of Tesco and the former president of the Confederation of British Industry, said retailers that have not been able to trade as normal due to temporary store closures are more exposed to stock fluctuations.

He said that Tesco is stockpiling non-fresh food to mitigate any disruption on January 1 when Britain ceases following European Union rules. 

Mr Allan added that the supermarket has diverted shipments from Dover where possible and put them on trains through the Channel Tunnel. He also warned food prices could rise as much as 5pc if there is a no-deal Brexit.

Andrew Opie of the British Retail Consortium (BRC) said that retailers are facing higher shipping costs than ever before, with some stung by 25pc rises week-on-week.

He said: "While these rates continue to rise, and the disruption at ports and in shipping continues, retailers face significant challenges with the import of some items ahead of Christmas. 

“Retailers are working overtime to rearrange and redirect incoming freight in order to ensure customers can get the items they need, but some delays appear inevitable.”

Small businesses selling via Amazon have also complained about goods stuck in transit across the world.

Writing on Amazon's online forum for sellers, one British firm said: "We are... experiencing severe delays with orders sent through Royal Mail.

"In some areas we’re seeing over two weeks for second class delivery and up to four weeks for international deliveries to some countries in Europe. I’m really not looking forward to the next three weeks."

Another seller said their product was stuck for 16 days waiting to get into Felixstowe, the UK's largest container port. A third said: "We heard that Gatwick [is] already backed up, so it is going to be real slow this month."  

Other independent small businesses are suffering too.

Linda Pilkington, who owns perfume maker Ormonde Jayne and set up her business two decades ago, has around 100 stockists in Europe alone and supplies others further afield.

She has asked retailers to allow four working weeks instead of two for all deliveries from January, and has also stocked up on ingredients such as oils as well as pumps and sprays that go into perfume bottles.

Ms Pilkington said: “I wanted to make sure that I would have enough in case of delivery disruptions or hold-ups at ports." 

Sally Stephenson, who owns a small stationery and toys business in Wales, said her stock is stuck at Felixstowe and she does not know if it will arrive before January. 

She said: “I’ve spent weeks forward-buying thousands of pounds of stock for the next three to six months to protect the business from Brexit." 

Some suppliers have been warning of worldwide shortages of shipping containers, with disruption forecast until at least February.

Mr Opie, at the BRC, added: “The UK is currently facing significant challenges shipping in many goods from countries around the world, particularly those from the Far East such as China. 

“These problems have been compounded by the increase in demand from retailers ahead of both Christmas and Brexit, exacerbated by the ongoing pandemic and the large shipments of PPE currently being brought into UK ports.

“At UK container ports, such as Felixstowe, there has been a huge surge in demand for space, which has created delays and hundreds of thousands of pounds in congestion charges for unloading goods.” 

John Glen, economist at the Chartered Institute of Procurement and Supply, said carriers cut back the number of ships when trade volumes slumped in the pandemic, and have yet to fully ramp up supply to meet current levels of demand.

“They have to bring more capacity in, otherwise it will bring the system grinding to a halt,” he said. “If they do not put on more volume, ports will clog up.”

The disruption has forced Honda to temporarily shut its Swindon car factory, and fellow carmakers Bentley and Nissan are understood to be considering flying parts in.

There are separate fears that delays could cause food to rot undelivered. Bodies representing the logistics industry have written to Transport Secretary Grant Shapps in a plea for help to clear backlogs at ports.

The industry also warned the Government there is potential for further disruption when the Brexit transition period ends on Dec 31.

Felixstowe, which handles 40pc of Britain’s container traffic, has been grappling with a jump in imports due to Covid stockpiling and preparations for a possible no-deal Brexit.

It has prompted shipping lines MSC Mediterranean Shipping and Maersk to move the UK stop on their joint trans-Atlantic container service to Liverpool from the week of Dec 21.

Smaller container ports such as Southampton and London gateway could be next to face severe disruption, experts have warned, and the Channel Tunnel is facing backlogs of its own.

French officials ordered around 800 trucks to come off the A16 approach road to Calais and wait in two lorry parks on Wednesday in a bid to prevent major jams around the port. Cargo volumes being taken to Dover jumped 20pc last month and have continued rising steadily since.